AUM of world’s biggest Bitcoin futures ETF skyrockets by 500%
The assets managed by the largest futures Bitcoin exchange-traded fund (ETF) in Hong Kong have surged by 500%, reaching $100 million since October 2023.
CSOP Asset Management, a capital market firm based in Hong Kong, disclosed in an interview with Reuters that its exchange-traded product, the CSOP Bitcoin Futures ETF, has witnessed a five-fold increase in assets managed over the past five months. The fund now stands at just over $100 million as local investors chase after the cryptocurrency rally.
Alessandro Zhu, who oversees crypto products and serves as the deputy head of fixed income at CSOP Asset Management, attributed the high demand to the launch of spot Bitcoin ETFs in the U.S., which were approved by the U.S. Securities and Exchange Commission in January of this year.
Zhu also mentioned that investors believe the limited supply of Bitcoin, which is capped at 21 million BTC, will push prices higher. This belief, combined with Bitcoin’s superior performance compared to Hong Kong stocks, has further fueled the demand.
With trading volumes on the rise, the average daily turnover for the CSOP Bitcoin Futures ETF has reached $2.8 million, reflecting a 188% increase compared to $0.97 million last year.
Hong Kong continues to be a hub for crypto-related activities as more financial institutions shift their focus towards the city. Harvest Fund Hong Kong, as previously reported by crypto.news, has recently filed for a spot Bitcoin ETF with the Hong Kong Securities Regulatory Commission, in line with the local authorities’ indications of willingness to approve spot crypto ETFs.
Furthermore, Harvest Fund’s subsidiary, Harvest Global Investments, is reportedly in discussions with the Hong Kong Monetary Authority regarding planned stablecoin trials within regulatory sandboxes.
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